include the Agricultural income while computing your income Tax liability. Example – Let us say that an Individual Assessee has a Total business income of INR 7,50,000/- (excluding Agricultural income) and a Net Agricultural income of INR 100,000/-. Then, per this step, Tax shall be computed on INR 7,50,000/- + INR 1,00,000/- = INR 8,50,000/-.

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-The assessee must be an individual or HUF or BOI or AOP.
-Non agricultural income should exceeds the basic exemption limit (2,50,000 for indiviual, 3,00,000 for senior citizen and 5,00,000 for super senior citizen.
-Agricultural Income exceeds 5000
For partial integration of agri income with non-agri income
Assessee should be an individual /HUF/ BOI/AJP/AOP
Agri income exceeds 5000 rupees
Non-agri income exceeds basic exemption.
The tax shall be calculated in following manner
STEP 1--Add agri with non-agri income and calculate the tax on the aggregate as if it is the total income.
STEP 2--Compute the tax on (Basic exemption + agri income) as if it is the total income
STEP 3--STEP 1- STEP 2 will be the tax payable
STEP 4--Claim relief u/s 87A -- if applicable
STEP 5--ADD SC (if applicable) and education cess.

The assessee must be an individual or HUF or BOI or AOP.
Non agricultural income should exceeds the basic exemption limit (2,50,000 for indiviual, 3,00,000 for senior citizen and 5,00,000 for super senior citizen.
Agricultural Income exceeds 5000

**PARTIAL INTEGRATION**
For partial integration of agri income with non-agri income
Assessee should be an individual /HUF/ BOI/AJP/AOP
Agri income exceeds 5000 rupees
Non-agri income exceeds basic exemption.
The tax shall be calculated in following manner
STEP 1--Add agri with non-agri income and calculate the tax on the aggregate as if it is the total income.
STEP 2--Compute the tax on (Basic exemption + agri income) as if it is the total income
STEP 3--STEP 1- STEP 2 will be the tax payable
STEP 4--Claim relief u/s 87A -- if applicable
STEP 5--ADD SC (if applicable) and education cess.
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For this purpose, The following points must be noted.
1. The assessee must be an individual or HUF or BOI or AOP.
2. Non agricultural income should exceeds the basic exemption limit (2,50,000 for indiviual, 3,00,000 for senior citizen and 5,00,000 for super senior citizen.
3. Agricultural Income exceeds 5000
Computation of TAx
------------------
Tax on **agricultural Income+Non agricultural income** at slab rate =A
Less: Tax on **Agricultural Income + Basic exemption limit** at slab rate =B
Therefore TAx= A - B

Once the aforementioned conditions are satisfied then we shall compute the Tax liability in the following manner:
> `First,`
include the Agricultural income while computing your income Tax liability. Example – Let us say that an Individual Assessee has a Total business income of INR 7,50,000/- (excluding Agricultural income) and a Net Agricultural income of INR 100,000/-. Then, per this step, Tax shall be computed on INR 7,50,000/- + INR 1,00,000/- = INR 8,50,000/-.
Thus, income Tax amount as per this step shall be INR 95,000/- for an individual who is below the age of 60 Years during the P.Y. 2014-15.
> `Second,`
Add the applicable basic Tax slab benefit, as applicable, to the Net Agricultural income. Thus, per our example mentioned above we shall add INR 2,50,000/- to INR 1,00,000/- as the applicable Tax slab benefit available to an individual below 60 Years of age is INR 2,50,000/-. Now we will compute income Tax on INR 3,50,000/- (Tax slab benefit 2,50,000 + Net Agricultural income 1,00,000). The amount of Tax shall be INR 10,000/-.
> `Third,`
subtract the Tax computed in Second step from the Tax computed in First step = INR 85,000/-. Thus, this is the income Tax liability subject to deductions, Education cess etc., as applicable.
The aforementioned treatment of Agricultural income has been illustrated subject to Finance (No.2) Act, 2014.